The Brookhaven leader., 1887-07-28
ALIEN OWNERSHIP.

ion on the New Alien Act--Ihe Rights of
Aliens Holding stock In Corporations.
WAsHINsToS, July % The following ~
the text of the Attorney generals opinion
with regard to the act 10 restrict owner
ship Of real estate in the Territories to
American citizens.
To he President:
DEPARTMENT OF JUSTICE, WASHINGTON May
2O.-A reply 70 your inquiries must be derived
from an Interpretation Of the act OF March en-
titled AN act to restrict the ownership OF real
estate in the Territories TO American citizens,
and so forth" The inquiries are: First, was
the act intended 10 apply and does IL apply 70
mines: second, can aliens lawfully acquire, own
and hold shares or stock issued by an American
corporation which is he owner OF minexal lands
in the Territories third, would the advance
ment Of money by aliens for the purpose OF
developing mining property be lawful under the
act: fourth, aliens lawfully contract with
| American owners for working mines or making
any proper use Of mineral lands for term OF
| years.
The first section Of the act forbids aliens who
have not declared their intention 10 become citi-
zens Of the United States and alien corpora
tions ITO hereafter acquire, hold or own real
| estate so hereaft acquired or any interest
! therein in the Territories Of the United States
/ OF in the District Columbia except in the
cases enumerated in the exception and prov1so
| to the section The second section fOrbids the
/ operating holding or owning Of such real estate
| hereafter acquired by any corporation or asso
| citation in which more than 20 per cent. OF the
| stock is owned by persons, corporations or asso-
Citations not citizens OF the United States.
The third section forbids corporations other
| than railway, canal or turnpike companies to
! hereafter acquire, hold or own more than 5000
| acres Of land hereafter acquired, and limits
! railway, canal and turnpike companies In their
acquisition to such lands as may be necessary
| to the proper operation OF their roads, canals
I, ffCrT
| forfeiture OF the property for violations OF the
| provisions OF the act.
The property forbidden to be acquired, held
or owned in the first section Is real estate or
! any interest Slerein" The term real esta
| is very comprehensive. 1t includes lands and
| every estate that may be inherited WI ich Is
annexed. arises out of or is exercisable therein.
This term embraces agricultural, mineral
desert and timber lands and town sites alike.
| The phrase ANY interest therein is some
what ambiguous 1t might bear the con-
| struction that a lease for years is an
| interest in land and land is real estate, there
| fore lease for years is an interest in real es-
tate II admits of another construction, viz:
That the words amy in crest therein must re-
fer to an interest In real estate; that lease
for years on any estate less than freehold in
land is not real estate, but cbattel real ana Is
so known in law; that the word therein
refers to what in law is known as real estate,
and as lease for years is not so known 1t does
not include lease. In this view Of the act the
term would signify any proportionate part or
interest in what is known IN law as real prop
erty which as such would pass at the death Of
the ancestor to the heir and not to the admins
traitor or executor.
1t was not the purpose OF the law to change
the policy Of the Government to such an extent
| as TO exclude immigration, and forbid to an
alien even lawful temporary residence in the
Territories of the Government, and the District
OF Columbia. Yet the first construction sug-
gested would effect that result. Under 1t the
owner of property in the District OF Columbia
could not lawfully lease, even for month, q
dwelling to one not citizen. The alien emf
grant to the Territories who had hoped and in
tended as a citizen in the future TO make his
home there, could not lawfully obtain q build
ing in which to shelter his family. Such con-
siderations as these enforce the view that the
latter construction is in accordance with the In
eut Of the legslatio n and that bona 6de leases,
are not intended to come within the inhibition
Of the act.
The exception to the first section relieves
from its provisions such real estate or interest
thesein as may be acquired in the ordinary
course OF tustic4 in the collection OF debts con-
tracted before tbr passage OF the act but those
provisions attach With fun force TO debts con-
tracted since its passage
The expression in the second section mo cor
poration shall hereafter acquire or hold or own
any real estate hereafter acquired relates TO
|
estate, in the Territories or District OF Colun-
bia 1t does not divert any rights now existing
nor preclude Amer can corporations from hold
| ing real estate now owned by them even al
though more than 20 per cent OF thelT
stock may be owned by other than eiti-
zeus but in case more than twenty per cent
| of their stock now is at any future time
shoAid he held and owned by others not cltizens
or Amercaa corporations, while such per cent
Of stock is so held and owned no further acqu1sl-
ton can be made Of real estate by any such cor
poration. The act does not deny the rlght OF
American owners TO borrow money from Aliens
nor TO secure such loans on real estate but in
the event of sale on future loan the alien
creditor could not at such sale become puF-
chaser.
Therefore reply to the inq uirtes submitted as
| follows First. AS TO mines and real estate or
inheritaUIe interest in real estate the act does
| not apply to them. Second As stock in corpora
| tion is personal an alien can lawfully have, own
and hold such stock issued by an American cor
poration which is now the owner of mineral
| lands in Territories, but If the holding oy
aliens exceeds 20 per cent. such corporation
, can neither acquire, hold own nor herea1ter ae-
auire real estate, while more than 20 per ceut.
of stock is held and owned by Aims Third. Un-
der the act the advancement OF money hereafter
by aliens for the purpose of developing mining
| property is lawful. but no interest in the real
| estate can be acquired by such advancement
nor would any alien have the right TO purchase
| the real estate, nor any interest therein on q
loan made since the passage of the act, even II
sold on his own security or lien. Fourth. Aliens
NAV law uly contract with American owners
to work mines by personal contracts for hire,
or by bona tidc leases, for reasonable time.
am, sir, with respect.
A. II. GARLAND, ttorneysSieneraI.
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